24 Oct Scottish House Prices Continue To Rise Due To Shortage of Stock
House prices across Scotland continue to rise in, though at a more modest pace according to the latest regional property index.
The latest index from Your Move showed that property prices north of the border increased by 3.3% annual in August.
According to Acadata research, the average price of property in Scotland is now £180,310.
The increase in house prices is slowing in Scotland, with the annual price rise being substantially below the 5.5 % increase seen at the beginning of 2018, and the 7.6 % peak recorded in March.
The figures on a monthly basis showed a decreased of 0.2% in Scotland, when compared to July’s index. However, despite this slowdown, there still remains pockets of significant growth in Scotland. Edinburgh and Glasgow continue to show strong annual house price growth with increases of 3.1% and 5.9% respectively.
Despite this strong growth in Edinburgh and Glasgow, it was outpaced by annual house price inflation in Inverclyde (12 %) and West Dunbartonshire (10.4%).
Your Move highlighted that house price growth in Scotland continues to outstrip that of England and Wales this year and that the key finding from their latest index is the lack of stock now coming onto the market.
According to the latest RICS survey, new vendor instructions in Scotland are the lowest in the UK after Yorkshire and the Humber.
The lack of property for sale in Scotland is undoubtedly helping to sustain the level of increased property sale prices, but also means that the volume of transactions is low.
From January to May this year, when house price growth was more resilient, ONS data shows sales volumes were down 9% compared with the same period in 2017 putting them at the lowest level since 2013.
Your Move’s Scottish managing director, Christine Campbell says: “Edinburgh and Glasgow are the foundation of the Scottish property market, and the evidence to date suggests that this foundation is strong. The problem is however that most homeowners seem in no hurry to put their properties onto the market, and we’re seeing a significant shortage of stock.
When they do come to the market, however, they sell fast so demand is still there, with Leith, for example, being a real hotspot. With talks of a potential second Scottish referendum in the midst, this too could lead to even more price uncertainty as people sit tight.”
If you are looking to sell your property, the first thing you’ll need is a Home Report. We are RICS Charted Surveyors specialising in Home Reports across Scotland from as little as £85. Get in touch today to arrange a time to suit you. We offer early morning or evening and weekend appointments. Call us on 0131 608 0175 or email us at firstname.lastname@example.org